‘Konektadong Pinoy’ disconnect

The Konektadong Pinoy Act, or KPA bill for short, was ratified by both chambers of the 19th Congress before they adjourned sine die two weeks ago. Industry players have raised alleged legal, if not constitutional, infirmities in the Congress-approved KPA bill that might seriously impair and not enhance – as originally intended – connecting Filipino consumers to the rest of the Philippines and to the rest of the world.

If this controversial measure is signed into law, industry players led by the telecommunications companies (telcos) would explore their legal remedies, one of which is to question its enactment before the Supreme Court (SC). Or better yet, they urged President Bongbong Marcos Jr. (PBBM) to veto the KPA bill and then submit an amended version to the present 20th Congress.

These possibilities were raised at the Kapihan sa Manila Bay news forum last Wednesday by the officers of the Philippine Chamber of Telco Operators (PCTO). Lawyers Ariel Tubayan, Globe Telecom vice president Legal Policy Group, and Roy Ibay, Smart Telecom vice president for Regulatory Affairs, warned about the dire implications of the KPA bill that got approved by the just concluded Congress.

While all of them want ease of doing business, Ibay and Tubayan echoed PCTO fears that the KPA will further put at risk the country’s cyber security situation. Already being plagued by online scam hubs, hacking incidents, threats of the “dark web,” among other cybercrime problems, the PCTO likened the KPA bill to a “Trojan horse” where the villains hide inside a well-intentioned legislative reform measure.

In particular, Tubayan noted with deep concern the KPA bill would allow satellite providers to use spectrum without regulation, contradicting its purpose of “technology neutrality.” Both Globe and PLDT legal experts fear the KPA, in its present form and substance, will open the floodgates for the entry of “bad actors.” These are the new data transmission industry participants (DTIPs) that would no longer go through the screening rigors of congressional franchise applications.

Ibay disclosed the PCTO, together with the Federation of International Cable TV Associations of the Philippines and the Philippine ICT Ogranization, submitted a letter to the Office of the President outlining these specific concerns on the KPA bill.

Tubayan “earnestly appealed” to PBBM to veto the proposed KPA bill as this would not truly deliver the desired goal of increased efficiency at reduced costs, secure but faster connectivity services. As a better option, Tubayan disclosed the PCTO will support a new version of the KPA bill that will truly contribute to the enhanced digital infrastructure all over the Philippines.

By passing this bill into law, the government hopes to bring in foreign players to compete with local players to provide for the internet needs of underserved and unserved areas, especially the people living in the geographically isolated, disadvantaged areas (GIDAs).

The KPA bill was actually first filed as the proposed “Open Access in Data Transmission Act” during the 17th and then refiled in the succeeding 18th Congress. In both instances, the bill did not see the light of day. In the current 19th Congress, the Lower House passed the bill on third and final reading in December 2022. And when Sen. Chiz Escudero took over as Senate President, he included this in the priority legislative agenda for the remaining sessions of the 19th Congress. So it was included as among the priority measures in the common legislative agenda of the Legislative-Executive Development Advisory Council (LEDAC).

Unfortunately, Tubayan and Ibay lamented they were never consulted nor invited to any public hearings at the Senate when they took up the KPA bill. At least, Tubayan recalled the PCTO was able to attend a public hearing on the House version of the KPA bill held at the Batasan Pambansa in Quezon City. Called the “third Congress,” the bicameral conference committee (bicam) is supposed to reconcile and consolidate the differing versions of the Senate and the House on the KPA bill.

And again, they were most surprised that a bicam version of the KPA bill got ratified last June 9. Only to find out that the new KPA bill version contained these questionable provisions that were never taken up in public hearings. Now, they are seeking the kind attention of Malacanang to return to Congress the proposed KPA bill.

The Philippine telco industry is calling out these deficiencies in the bill that can impact our national security, and the public, such as the watering down of the regulatory powers of the National Telecommunications Commission (NTC). Once it becomes a law, it will allow any company to enter the Philippines without checking for financial capacity, technical competency and giving two years within which to install their cyber security measures. How can there be a level playing field if such favorable arrangements are given to satellite technology players? Where is the “fair treatment” for data transmission players?

While everyone wants better connectivity, we also have to be aware of the possible negative implications of this bill. Lest this may turn out to be another POGO (Philippine online gaming operators) Law which was lauded as a significant economic driver, but eventually became entry points for cybercriminal syndicates that made the Philippines known as the online scam hub in this part of the world.

Like all other enrolled bills, the KPA bill is still going through the vetting process by the battery of lawyers in the Office of Executive Secretary Lucas Bersamin. While he may be dubbed as the “little president,” the Executive Secretary can only recommend final action on these enrolled bills.

The Executive Secretary also gets inputs from Cabinet members and other heads of government agencies whose offices will implement or enforce the bill once it gets enacted. But there are other considerations that must be taken into account.

But the final say, of course, rests with PBBM, who will either sign the bill into law or veto it.

Now the job is to find out where the “Konektadong Pinoy” bill got somehow disconnected from the letter and spirit of the proposed law.